The US just moved to cut one of the world's top 20 exchanges off from its banking system.
FinCEN issued an order against MEXC Global, saying the platform handled at least 16 billion dollars in alleged illicit flows between May 2021 and May 2026. That includes nearly 1.5 billion dollars tied to Russian sanctions evasion and about 1 billion dollars in direct transfers with more than 40 Iranian crypto exchanges. Treasury also flagged about 22 million dollars linked to Iran's central bank and the IRGC.
As of September 2026 MEXC was processing more than 1 billion dollars in daily trades and held around 5 billion dollars in reserves, according to Treasury. The order, issued under section 9714 of the Combating Russian Money Laundering Act, takes effect 30 days after it is published in the Federal Register. US financial institutions would then be barred from sending funds to or from MEXC, including crypto transfers.
MEXC says it is operating normally, user assets remain secure, and it has started an independent review of its AML and sanctions controls.
Does this change how you look at offshore exchange risk, or do you see it as mainly a US banking rails issue?
$MX #MEXC #Crypto #Regulation
FinCEN issued an order against MEXC Global, saying the platform handled at least 16 billion dollars in alleged illicit flows between May 2021 and May 2026. That includes nearly 1.5 billion dollars tied to Russian sanctions evasion and about 1 billion dollars in direct transfers with more than 40 Iranian crypto exchanges. Treasury also flagged about 22 million dollars linked to Iran's central bank and the IRGC.
As of September 2026 MEXC was processing more than 1 billion dollars in daily trades and held around 5 billion dollars in reserves, according to Treasury. The order, issued under section 9714 of the Combating Russian Money Laundering Act, takes effect 30 days after it is published in the Federal Register. US financial institutions would then be barred from sending funds to or from MEXC, including crypto transfers.
MEXC says it is operating normally, user assets remain secure, and it has started an independent review of its AML and sanctions controls.
Does this change how you look at offshore exchange risk, or do you see it as mainly a US banking rails issue?
$MX #MEXC #Crypto #Regulation
